Home Point Financial Mortgage Review 2020
Editor’s note: The overall conclusions, recommendations and opinions are the author’s alone. The information in this article is accurate as of the date of publishing.
Home Point Financial is a national mortgage lender that focuses on loan origination and servicing. The lender is licensed in all 50 states and is headquartered in Ann Arbor, Mich.
Home Point Financial was founded in 2015 and the company is on a mission to become a top-10 mortgage lender.
Pros and cons of a Home Point Financial mortgage
- A wide range of mortgage products
- An online mortgage application process
- Lending options for nontraditional borrowers
- Licensed to lend in all 50 states and the District of Columbia
- Limited number of branch locations, which is inconvenient if you prefer in-person interaction
- No USDA refinancing options
- Website lacks information on current interest rates
Working with Home Point Financial
Home Point Financial is currently licensed in all 50 states and the District of Columbia. There are physical branches in:
- North Carolina
A mortgage applicant’s initial contact with Home Point Financial happens over the phone, and then they’re able to submit an online application for mortgage preapproval, which involves upfront loan underwriting before picking a property.
Applicants can reach Home Point Financial by phone daily from 8 a.m. to 8 p.m. ET.
Home Point Financial borrowing requirements
The minimum required credit score varies by loan program. For example, you’ll need a minimum 580 credit score for loans backed by the Federal Housing Administration (FHA) and the U.S. Department of Veterans Affairs (VA), but at least a 620 score for conventional mortgages and loans backed by the U.S. Department of Agriculture (USDA).
Home Point Financial offers mortgages for several property types, including:
- Single-family homes
- Multifamily homes
- Mobile homes
If you’re curious whether other property types are eligible, reach out directly to Home Point Financial at [email protected].
Home Point Financial mortgage products
- Conventional loans. Adjustable-rate and fixed-rate loans available for as little as 3% down.
- FHA loans. Adjustable-rate and fixed-rate loans available for as little as 3.5% down.
- VA loans. 0% down payment adjustable-rate and fixed-rate mortgages available. Fixed-rate loan terms range from 15 to 30 years.
- USDA loans. Available in 30-year fixed-rate loan terms only.
- Renovation loans. Available for homebuyers who want to combine their home purchase or refinance with repair costs. The minimum required credit score is 620.
- Jumbo loans. Adjustable-rate and fixed-rate mortgages available up to $2.5 million.
- Conventional refinances. Available in 10- to 30-year loan terms.
- FHA streamline refinances. Reduced documentation and underwriting requirements. The minimum required credit score is 580.
- VA interest rate reduction refinance loans (IRRRL). Available without a home appraisal, income documentation or minimum credit score requirements.
- Home equity lines of credit (HELOCs). Maximum credit line allowed is $350,000.
- Piggyback loans. Maximum combined loan amount for the purchase and second mortgage is $1.5 million.
Home Point Financial special mortgage programs
- Fannie Mae HomeReady® loans
- Freddie Mac Home Possible® loans
- Fannie Mae HomeStyle® Renovation loans
- FHA 203(k) loans
Home Point Financial also offers the Edge program, which caters to prospective homebuyers who may not meet traditional borrowing requirements, such as self-employed borrowers. Minimum down payments may range from 5% to 10% with loan amounts of up to $1 million and $1.5 million, depending on the type of program used.
The mortgage application process
- How to apply. You can complete your mortgage application online and will be asked to provide information about who you are. You’ll also share your income history and supporting documentation.
- Disclosure process. Once your application is submitted, you can sign disclosures and upload any additional documents via the online portal. Your loan officer will pull your credit history and work with you to choose the best loan program for your situation.
- Submitting loan for approval. After you’ve selected your loan program, your loan will go through the underwriting process. The loan underwriters will verify the information you submitted and request additional documentation as needed.
- Final approval. After you successfully complete the underwriting, home inspection and home appraisal processes, your loan will receive final approval and you’ll be cleared for closing.
- Closing. Home Point Financial says most of its loans close within 30 to 45 days, but varies by loan program. Depending on your state laws, this may take place at your real estate agent’s office, the title company’s office or an attorney’s office.
- Servicing. After you’ve completed the closing process, you’ll create an online account for your loan servicing needs. This includes making payments and accessing up-to-date info about your mortgage.
Communication during the process
- Initial contact. A loan officer will start the application process and help you decide on a loan program best suited for your needs.
- Underwriting. Once you complete your application and select a loan program, expect an underwriter to reach out and request additional documentation to verify your income, assets and debt. Throughout the process, you can check on the status of your loan and review and sign documents through the online portal.